Cannabis rule ties license renewal to taxes

By Taxpayers Association of Oregon Foundation

The trade association representing cannabis retailers wants to find legislative options to increase tax collection among its members without tying renewal of licenses to whether a company or its owners have filed taxes. Their efforts come in the wake of the Oregon Liquor and Cannabis Commission’s temporary rules that require proof of tax compliance before state licenses to sell cannabis can be renewed, according to the Portland Business Journal. The OLCC implemented the temporary rules June 16 at the request of Gov. Tina Kotek after a Willamette Week investigation showed one of the state’s largest cannabis chains, La Mota, faced liens for delinquent state and federal taxes. Former Secretary of State Shemia Fagan moonlighted for La Mota, receiving lucrative consulting fees.


The OLCC plans to look into drafting permanent rules this summer, but Mike Getlin of the Cannabis Industry Alliance of Oregon said tying personal and business tax compliance to renewal of licenses could prove detrimental to businesses grappling with an oversupply of product, low prices, and dwindling demand.

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